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The annual Texas free sales tax holidaywill be Aug. 19-21, 2011. State Comptroller Susan Combs on Thursday announced the annual tax-free weekend, as shoppers get a break from sales tax on certain items costing less than $100. Combs says shoppers will pay no state or local sales tax on many school supplies and most clothing. The list of exceptions includes certain leather goods, handbags, jewelry and helmets. Again this year all Texas shoppers get a break from state and local sales taxes on August 19, 20 and 21 – the state’s annual tax holiday. Lay-away plans can be used again this year to take advantage of the sales tax holiday.

As in previous years, the law exempts most clothing and footwear priced under $100 from sales and use taxes, which could save shoppers about $8 on every $100 they spend. Backpacks under $100 and used by elementary and secondary students are also exempt. A backpack is a pack with straps one wears on the back. The exemption during the sales tax holiday includes backpacks with wheels, provided they can also be worn on the back like a traditional backpack, and messenger bags. The exemption does not include items that are reasonably defined as luggage, briefcases, athletic/duffle/gym bags, computer bags, purses or framed backpacks. Ten or fewer backpacks can be purchased tax-free at one time without providing an exemption certificate to the seller. Thanks to Free Things to Do in Austin for this great shopping tip